information on the implementation of the gambling law in 2017€¦ · gambling games on the...
TRANSCRIPT
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Ministry of Finance
Information
on the implementation
of the Gambling Law
in 2017
Warsaw, 2018
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TABLE OF CONTENTS
1. INTRODUCTION ..................................................................................................................................... 4 2. LEGAL STATUS ...................................................................................................................................... 5 3. DESCRIPTION OF THE GAMBLING MARKET .................................................................................. 9
3.1. Gambling games for the arrangement of which the minister competent for public finance shall
grant a licence or a permit ......................................................................................................................... 9 3.2. Permits issued by directors of revenue administration regional offices and notifications submitted
to heads of customs and tax control offices ............................................................................................ 10 3.3. Key indicators characterising the gambling market ......................................................................... 11 3.3.1. Number of gaming devices operated in casinos and games arcades ............................................. 13 3.3.2. Economic and financial results of entities pursuing activity in the scope of gambling games ..... 13 3.3.3. Revenue on gambling games recognised by entities pursuing activity in this scope and its
structure by game types in the years 2016 - 2017 ................................................................................... 14 4. RECEIPTS FOR THE STATE BUDGET .............................................................................................. 15
4.1. Gambling tax revenue ...................................................................................................................... 15 4.1.1. Gambling tax for the years 2016-2017 .......................................................................................... 15 4.1.2. Structure of gambling tax for the years 2016 – 2017 .................................................................... 16 4.2. Tax arrears ........................................................................................................................................ 17 4.3. Receipts from fees in 2017 ............................................................................................................... 17 4.4. Surcharges ........................................................................................................................................ 18
5. SUPERVISION AND CONTROL OF ACTIVITY DETERMINED UNDER THE GAMBLING LAW
..................................................................................................................................................................... 20 5.1 Bodies authorised to exercise control and forms of control .............................................................. 20 5.2. Conducted inspections in the area of the legal gambling market and their outcome .................... 21 5.2.1. Inspections of arrangement of gambling games in 2017 ............................................................... 21 5.2.2. Number of performed inspections of arranging games and irregularities found in entities holding
a license/ permit for arranging gambling games and in entities notifying such games ........................... 21 5.2.3. Tax inspections performed by the National Revenue Administration in the area of gambling
games ....................................................................................................................................................... 23 5.3. Inspections in the area of the illegal gambling market, i.e. in relation to entities arranging and
conducting gambling games without a licence, a permit or a notification .............................................. 24 5.3.1. Activities of the National Revenue Administration in the scope of combating arranging games on
gaming machines without a permit ......................................................................................................... 27 5.4. Activities of bodies of the National Revenue Administration in the scope of violation of the
provisions of the Gambling Law on the Internet ..................................................................................... 28 5.4.1. Arranging illegal gambling games on the Internet ........................................................................ 28 5.4.2 Advertising and promoting gambling games on the Internet ......................................................... 29 5.4.3. Activities in the scope of cooperation of the National Revenue Administration bodies with the
aim of counteracting violation of provisions in the area gambling games on the Internet ...................... 30 5.5. Tax crime and tax offence against the organisation of gambling games .......................................... 31 5.6. Application of administrative sanctions for the infringement of the provisions of the Gambling
Law .......................................................................................................................................................... 33
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1. INTRODUCTION
This document presents the fulfilment the order by the Council of Ministers imposing
the obligation on the minister competent for public finance to inform the Council, in annual
cycles, about the status of the implementation of the Act of 19 November 2009 - Gambling
Law (Journal of Laws of 2018, item 165, as amended).
The purpose of this information is to present the facts and figures on the situation
of the gambling market in Poland and the measures of the state, both in terms of legislation
and control, streamlining this market in the eighth year of effectiveness of the aforementioned
Act. Moreover, the document contains information on the implementation
of the aforementioned Act in the context of income due to gambling tax and execution
of budgetary assumptions, the analysis of the behaviour of the gambling industry against
the backdrop of the economic, legislative and social developments.
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2. LEGAL STATUS
In 2017, the principles of the functioning of the gambling market in Poland were regulated
by the Act of 19 November 2009 - Gambling Law (Journal of Laws of 2018, item 165,
as amended), hereinafter referred to as the “Gambling Law” and the implementing regulations
thereto.
The Gambling Law was amended by the Act of 15 December 2016 amending the Gambling
Law and certain other acts (Journal of Laws of 2017, item 88), effective from 1 April 2017.
The amending Act introduced the following significant changes:
state monopoly in organising games on gaming machines outside the casino in games
arcades;
possibility to organise games on the Internet by a company exercising the state monopoly
(with the exception of betting and promotion lotteries);
obligation to prepare and apply regulations of responsible gaming by entities arranging
gambling games on the Internet;
establishment of the Register of domains intended for offering gambling games
incompatible with the Gambling Law;
possibility to organise poker tournaments also outside the casino;
possibility to advertise betting for which a permit was granted (pursuant to the terms
defined in the Gambling Law);
raising penalties for arranging games on gaming machines without the required licence
and extending the catalogue of entities subject to fine for violating the provisions
of the Gambling Law;
ban on holding gaming machines (save for the exceptions indicated in the Gambling
Law);
liquidation of exams and professional certificates related to supervising and conducting
gambling games;
obligations for Internet service providers and payment service providers (effective as of
1 July 2017):
- blocking access to websites using names of Internet domains entered in the Register
of domains intended for offering gambling games incompatible with the Gambling Law,
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- ban on collaboration by payment service providers with entities which organise illegal
gambling games on the Internet on websites entered in the Register.
2017 was the eighth year of effectiveness of the Gambling Law. In the same year, the
following legal regulations shaping this area were promulgated:
1. Regulation of the Minister of Development and Finance of 22 February 2017 on the
appointment of the head of the tax office competent to issue forms of prize certificates (Journal
of Laws item 362);
2. Regulation of the Minister of Development and Finance of 22 February 2017 concerning
the competence of tax offices and revenue administration regional offices in the scope
of gambling tax (Journal of Laws item 370);
3. Regulation of the Minister of Development and Finance of 23 February 2017 amending
the Regulation concerning prize certificates and as well as records of certificates and records
of prizes paid (issued) (Journal of Laws item 382);
4. Regulation of the Minister of Development and Finance of 24 February 2017 amending
the Regulation concerning the detailed conditions of registering and maintenance of gaming
machines and devices (Journal of Laws item 389);
5. Regulation of the Minister of Development and Finance of 24 February 2017 concerning
areas of local jurisdiction of heads of customs and tax control offices competent for accepting
raffle lottery and raffle bingo notifications (Journal of Laws item 398);
6. Regulation of the Minister of Development and Finance of 27 February 2017 on the
appointment of heads of customs and tax control offices competent for the registration
and maintenance of gaming machines and gaming devices and determining their areas of local
jurisdiction (Journal of Laws item 421);
7. Regulation of the Minister of Development and Finance of 24 February 2017 concerning
customs and tax control performed in the scope of arranging and operating gambling games
(Journal of Laws item 438);
8. Regulation of the Minister of Development and Finance of 28 February 2017 concerning
areas of local jurisdiction of directors of revenue administration regional offices concerning
granting permits to arrange a raffle lottery, an audiotele lottery, a raffle bingo and a promotional
lottery (Journal of Laws item 439);
9. Regulation of the Minister of Development and Finance of 29 March 2017 concerning
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records of slot machines (Journal of Laws item 698);
10. Regulation of the Minister of Development and Finance of 30 March 2017 concerning
the principles of deploying games arcades on the territory of a municipality (Journal of Laws
item 701);
11. Regulation of the Minister of Development and Finance of 30 March 2017 on the
appointment of heads of Customs and Tax Control Offices competent for the matters
of registration and maintenance of gaming machines, lottery drawing machines and gaming
devices and determining their areas of local jurisdiction (Journal of Laws item 702);
12. Regulation of the Minister of Development and Finance of 31 March 2017 amending
the Regulation concerning the documentation to be maintained by gambling operators (Journal
of Laws item 705);
13. Regulation of the Minister of Development and Finance of 10 April 2017 concerning
the template of the application for issuing the decision referred to in Article 2(6) of the
Gambling Law (Journal of Laws item 792);
14. Regulation of the Minister of Development and Finance of 25 April 2017 concerning
the templates of gambling tax return forms (Journal of Laws item 853);
15. Regulation of the Minister of Development and Finance of 25 April 2017 amending
the Regulation concerning the template of the information on surcharges in number games,
cash lotteries and telebingo (Journal of Laws item 866);
16. Regulation of the Minister of Development and Finance of 18 May 2017 concerning
the method and scope of archiving the data related to gambling games arranged via the Internet
(Journal of Laws item 1018);
17. Regulation of the Minister of Development and Finance of 1 June 2017 concerning
the ICT system registering and archiving the data related to the process of games on gaming
machines in games arcades (Journal of Laws item 1096);
18. Regulation of the Minister of Development and Finance of 8 June 2017 concerning
lottery drawing machines, gaming devices and gaming machines, securing information related
to arranged lottery as well as gaining, calculating and paying prizes (Journal of Laws item
1171);
19. Regulation of the Minister of Development and Finance of 28 June 2017 concerning
the submission of information on the functioning of entities arranging and pursuing activity
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in the scope of gambling games (Journal of Laws item 1304);
20. Regulation of the Minister of Development and Finance of 20 July 2017 concerning
the appointment of the National Revenue Administration body to which the registering system
is made available by an entity exercising the state monopoly in the scope of games on gaming
machines arranged in games arcades (Journal of Laws item 1441);
21. Notice of the Minister of Development and Finance of 29 August 2017 promulgating
the uniform text of the Regulation of the Minister of Finance concerning prize certificates
and as well as records of certificates and records of prizes paid (issued) (Journal of Laws item
1723);
22. Notice of the Minister of Development and Finance of 8 September 2017 promulgating
the uniform text of the Regulation of the Minister of Development and Finance concerning
the template of the information on surcharges in number games, cash lotteries and telebingo
(Journal of Laws item 1770);
23. Regulation of the Minister of Sports and Tourism of 25 September 2017 concerning
the transfer of funds from the Physical Development Fund (Journal of Laws item 1801);
24. Regulation of the Minister of Development and Finance of 27 September 2017
concerning the audiovisual game control system (Journal of Laws item 1833);
25. Act of 15 September 2017 on the National Institute of Freedom – Centre for
the Development of Civil Society (Journal of Laws item 1909, as amended);
26. Regulation of the Minister of Health of 31 October 2017 concerning raising co-financing
for the implementation of tasks from the resources of the Fund for Resolving Gambling
Problems (Journal of Laws item 2029).
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3. DESCRIPTION OF THE GAMBLING MARKET
3.1. Gambling games for the arrangement of which the minister competent for public
finance shall grant a licence or a permit
The table below provides a quantitative illustration of the gambling market as at the end of
2016 and 2017 in the segment of games arranged in casinos, games arcades and bet making
points.
Games
Number of existing
licences/ permits
Number of existing game
centres/ points with
licences/ permits
Number of licences/
permits issued
as at
31.12.2016
as at
31.12.2017
as at
31.12.2016
as at
31.12.2017 2016 2017
Casinos 46 49 46 49 10 16
Cash bingo halls 0 0 0 0 0 0
Betting and bet making points 26 28 2355 2510 5 6
Betting via the Internet 7 7 X X 2 0
Casinos
In 2017, 38 applications for a casino operating licence were filed, which was associated with
the publication of information on the expiry dates of 18 licences granted in the years 2011 –
2012 and available locations in the Małopolskie, Dolnośląskie and Śląskie Provinces. From
1 January to 31 December 2017, the minister competent for public finance granted 16 casino
operating licences, including 4 licences issued under a non-tender procedure. The remaining
12 licences were awarded as a result of tendering procedures launched in 2016.
Betting
In 2017, 33 applications for a permit for arranging betting were filed (including 15 applications
for arranging betting via the Internet).
As at 1 January 2017, 26 permits for arranging betting were effective, which covered a total
of 2355 bet making points. As at 31 December 2017, 28 permits for arranging betting were
effective, which covered a total of 2510 bet making points.
In relation to the existing stationary bet making points, the rise in their number compared to
2016 was affected by granting a permit to a new operator and new permits to operators already
pursuing the activity.
As at 1 January 2017 7 permits for arranging betting via the Internet were effective. In 2017,
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the minister competent for public finance did not grant any permits for arranging betting via
the Internet.
As at 1 January 2017, 8 operators held permits for arranging betting. As at 31 December 2017
the said permits were held by 9 entities.
Poker tournaments
Until 1 April 2017, poker tournaments could have been arranged in casinos and the minister
competent for public finance, as the licensing authority, was also competent to issue permits
for their arrangement. Entities operating casinos pursuant to the licence granted were eligible
to apply for a permit. In 2017, 4 permits for arranging a poker tournament were issued to two
entities holding a casino operating licence.
In accordance with the amended Gambling Law, since 1 April 2017, the minister competent
for public finance has ceased to grant permits for arranging poker tournaments. A game
of poker in the form of a tournament can be organised on the basis of a notification of such a
tournament submitted to the director of the revenue administration regional office competent
for the venue of the tournament to be arranged, subject to fulfilling the terms and conditions
defined in the Gambling Law.
3.2. Permits issued by directors of revenue administration regional offices and
notifications submitted to heads of customs and tax control offices
Pursuant to the Gambling Law, the arrangement of the following games required a permit of
the competent director of the revenue administration regional office:
1) promotion lotteries;
2) audiotele lotteries;
3) raffle lotteries;
4) raffle bingo.
In 2017, directors of revenue administration regional offices (from 1 January 2017 to
28 February 2017 - directors of customs chambers):
1) issued in total:
a) 355 permits for arranging promotion lotteries to 132 operators;
b) 101 permits for arranging audiotele lotteries to 18 operators;
c) 2 permits for arranging a raffle lottery to 2 operators;
2) have not issued any permits for arranging raffle bingo.
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Comparing the number of permits issued in 2016 and 2017, the following developments were
noted:
1) in the scope of promotion lotteries – a decline in the number of permits granted by 21;
2) in the scope of audiotele lotteries – a rise in the number of permits granted by 5;
3) in the scope of raffle lotteries – a rise by 1 permit;
4) in the scope of raffle bingo – no permits were issued, as in 2016.
In 2017, heads of customs and tax control offices (from 1 January 2017 to 28 February 2017,
heads of customs offices) received 1286 raffle lottery arrangement notifications and 0 raffle
bingo arrangement notifications.
Pursuant to Article 7(1a) of the Gambling Law, the organisation of raffle lotteries or raffle
bingo – where the prize pool did not exceed the base amount (PLN 4,244.58 in 2017) – was
possible after a prior notification.
Pursuant to Article 7(1b) of the Gambling Law, in force since 19 December 2014, public
benefit organisations were eligible to arrange raffle lotteries and raffle bingo, where the prize
pool exceeded the base amount but was not higher than fifteen times the base amount, subject
to a prior notification.
Pursuant to Article 6a(1)(2) of the Gambling Law, a poker tournament can be organised outside
a casino subject to notifying the director of the revenue administration regional office competent
for the venue of the tournament of such a tournament and after fulfilling the terms
and conditions defined in the provisions of the Gambling Law.
3.3. Key indicators characterising the gambling market
The presented data were compiled on the basis of the information concerning the operation
of entities arranging and pursuing the activity in the scope of gambling games , i.e. data from
IGH forms (Gambling Operator Information forms)1, data from the KRAG (Electronic Register
of Gaming Machines) system, and the data supplied by Totalizator Sportowy Sp. z o.o.
1 Information on the functioning of entities - Regulation of the Minister of Development and Finance of 28 June
2017 concerning the submission of information on the functioning of entities arranging and pursuing activity in
the scope of gambling games (Journal of Laws item 1304);
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Number of existing entities, game centres and bet making points and the number of arranged
number games, cash lotteries, audiotele and promotion lotteries in the years 2016 - 2017
Item
Number of entities
Number of arranged number games,
cash lotteries, audiotele and
promotion lotteries, and the number
of game centres and bet making points
2016
2017
Change
2017/2016 (%)
2016
2017
Change
2017/2016 (%)
Number games (monopoly) 1 1 0% 8 7 -12.5
Cash lotteries (monopoly) 1 1 0% 79 85 7.6
Casinos 7 8 14% 53 49 -7.5
Games arcades 5 0 -100% 6 0 -100
Betting 8 9 12.5%
1 948 2 510 29 stationary points 8 8 0%
via Internet 7 7 0%
Audiotele lotteries 16 18 12.5% 43 101 135
Promotion lotteries 224 132 -41% 459 355 -22.7
The data presented in this table refer to all entities operating in the particular reporting period, even if their activity started
during the reporting period or was terminated before the lapse of the reporting period, i.e. before the end of the year.
According to the above data compilation, the number of entities arranging audiotele lotteries
and the number of arranged lotteries increased in 2017 compared to 2016 by 2 and 58,
respectively. In relation to promotion lotteries, both the number of entities arranging such
lotteries and the number of promotion lotteries themselves fell by 92 and 104, respectively.
In relation to 2016, the number of entities operating casinos and the number of entities
arranging betting increased by 1, on the other hand, the number of entities arranging betting
increased by one with a simultaneous growth in the number of bet making points by 562.
Pursuant to Article 5 of the Gambling Law, pursuing the activity in the scope number games
and cash lotteries is subject to state monopoly. The state monopoly is exercised by Totalizator
Sportowy Sp. z o.o. The number of arranged cash lotteries rose by 6 compared to 2016, whereas
the quantity of number games fell by 1.
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3.3.1. Number of gaming devices operated in casinos and games arcades
The table below presents the number of gaming devices operated in casinos and games
arcades in the years 2016 - 2017.
Device types
Number of gaming devices (average per period)
In casinos In games arcades
2016 2017 2016 2017
Cylindrical game tables 156 141 X X
Card game tables 228 218
Dice game tables 1 1
Gaming machines 2 920 2 673 92 0
3.3.2. Economic and financial results of entities pursuing activity in the scope of gambling
games
The economic and financial results of entities pursuing activity in the scope of gambling
games in the years 2016 - 2017 are presented in the table below.
Specification 2016 2017
Change
2017/2016 (%) (in PLN ‘000)
Revenue on games* 10,575,904 12,901,922 22
Prizes won by players* 7,320,075 9,175,050 25
Gambling tax due** 1,406,925 1,640,203 17
Surcharges arising from Article 80 of the
Gambling Law **
986,050 959,039 -2,7
*Source: IGH forms
**Source: budgetary data
Note: the amount of the revenue on games for 2016 has been adjusted due to the adjustment of the revenue on
audiotele lotteries presented in the table in section 3.3.3.
The above specification shows that in 2017 the revenue on gambling games rose by
PLN 2,326,018 thousand, i.e. by 22% compared to 2016 and the amount of gambling tax due
also increased by PLN 233,278 thousand, i.e. by 17%.
In 2017, the prizes won by gamblers amounted to PLN 9,175,050 thousand and in relation to
2016, they rose by PLN 1,854,975 thousand, i.e. by 25 %. In 2016, the amount of prizes reached
PLN 7,320,075 thousand.
On the other hand, in 2017 the amount of surcharges decreased by PLN 27,011 thousand, i.e.
by 2.7 % compared to 2016.
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3.3.3. Revenue on gambling games recognised by entities pursuing activity in this scope
and its structure by game types in the years 2016 - 2017
The table below presents the revenue on gambling games recognised by entities pursuing
activity in this scope in the years 2016 – 2017 and its structure by game types.
Specification
2016
2017
Change in revenue
2017/2016 (%)
Revenue
(in PLN
thousand)
Structure
(%) Revenue
(in PLN
thousand)
Structure
(%) Structure
(%)
Monopoly 4,576,334 43.3 4,641,623 36 1.4
Number games 3,604,431 34.1 3,475,827 27 -3.6
Cash lotteries 971,903 9.2 1,165,796 9 20
Casinos 4,265,460 40.3 4,823,043 37.4 13
Games arcades 38,509 0.4 - - -
Betting 1,660,169 15.7 3,407,276 26.4 105
Audiotele lotteries* 35,432 0.3 29,980 0.2 -15
Total 10,575,904 100% 12,901,922 100% 22%
*The information on the amount of revenue on audiotele lotteries was based on data sources (IGH forms) which
turned out incomplete, accordingly, resulting it was necessary to adjust the data for 2016. The adjusted amount
was calculated on the basis of tax data.
The specification presented above indicates that2017, compared to 2016, saw an increase in
the revenue generated on betting (an increase by PLN 1,747,107 thousand, i.e. by 105 %) and in
casinos (an increase by PLN 557,583 thousand, i.e. by 13 %).
In the case of gambling games subject to the state monopoly, an increase in the revenue– by
PLN 65,289 thousand, i.e. by 1.4 % was recorded (cash lotteries – an increase by PLN 193,893
thousand, i.e. by 20 %), whereas in the case of number games – a decline by PLN 128,604
thousand, i.e. 3.6 % was noted.
In the case of audiotele lotteries, a decrease in the revenue by PLN 5,452 thousand, i.e. by 15 %
was recorded.
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4. RECEIPTS FOR THE STATE BUDGET
4.1. Gambling tax revenue
In 2017, the receipts for the state budget on account of gambling tax were forecast at a level of
PLN 1,709,000 thousand. They were accomplished in the amount of PLN 1,640,203 thousand,
which means that in relation to the forecast they were lower by PLN 68,797 thousand, i.e. 4 %.
Compared to 2016, these receipts were higher by PLN 233,278 thousand, i.e. by 16.6 %.
The scope and level of detail of the data concerning the state budget revenue on account of
gambling tax is stems from the Regulation of the Minister of Finance of 2 March 2010
concerning the detailed classification of income and expenses, revenues and expenditure and
funds originating from foreign sources (Journal of Laws of 2014, item 1053, as amended).
In accordance with the aforementioned regulation, revenue from gambling tax is disclosed in
the budgetary classification in Section 756, Item 75614 –receipts from games.
Consequently, the revenue on account of gambling tax gained from individual games
and betting is not presented in the state budget as a separate position.
Nevertheless, it is possible to determine the level of declared individual tax amounts arising
from the aforementioned title on the basis of forms filed by taxpayers.
4.1.1. Gambling tax for the years 2016-2017
The table below presents amounts of tax declared by taxpayers for individual types of gambling
games in the years 2016 – 2017.
Specification
Gambling tax (in PLN thousand)
(due – declared by taxpayers)
2016 2017 Change 2017/2016
(%)
Monopoly 866,665 870,032 0.4
Number games 720,886 695,165 -3.6
Cash lotteries 145,779 174,867 20
Casinos 339,096 372,134 10
Games arcades 2,724 - -
Betting 196,596 407,367 107
stationary points 108,489 128,142 18
via the Internet 88,107 279,225 217
Audiotele lotteries 8,858 7,495 -15
Raffle lotteries 12 32 166
Total 1,413,951 1,657,060 17
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The estimated amounts due (declared by taxpayers) on account of gambling tax in 2017
reached PLN 1,657,060 thousand and exceeded the amount due for 2016 by PLN 243,109
thousand, i.e. by 17 %.
Compared to 2016, the growing dynamics of amounts declared in the following game segments
had the greatest impact on the level of gambling tax gained in 2017:
- betting (in stationary points and via the Internet) – an increase by PLN 210,771
thousand, i.e. by 107 %,
- games in casinos – an increase by PLN 33,038 thousand, i.e. by 10 %,
- cash lotteries – an increase by PLN 29,088 thousand, i.e. by 20 %,
- raffle lotteries – an increase by PLN 20thousand, by 166 %.
In 2017, a decline in the amount of declared gambling tax occurred in the case of audiotele
lotteries (a decrease by PLN 1,363 thousand, i.e. by 15 %) and number games (a decline by
PLN 25,721 thousand, i.e. by 3.6 %), whereas in the case of games on gaming machines
arranged in games arcades, due to the expiry of the last games arcade permit on 7 June 2016,
no gambling tax receipts were recorded.
4.1.2. Structure of gambling tax for the years 2016 – 2017
The table below presents the structure of tax for individual types of gambling games in the
years 2016 - 2017.
Specification
Structure of e gambling tax (%)
2016 2017
Monopoly 61.3% 52.5%
Number games 51% 42%
Cash lotteries 10.3% 10,5%
Casinos 24% 22.4%
Games arcades 0.2% 0
Betting 13.9% 24.6%
stationary points 7.7% 7.7%
via the Internet 6.2% 16.8%
Audiotele lotteries 0.6 % 0.5%
Raffle lotteries 0.0008% 0.002%
Total 100% 100%
The analysis of the structure of gambling tax declared in 2017 indicates that, compared to 2016,
its share in the total amounts of gambling tax declared from the following segments of the
gambling market increased:
1) betting - by 10.7 percentage points;
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2) raffle lotteries - by 0.001 percentage points.
At the same time, in other segments, a decline of share in the total amounts of declared
gambling tax decreased. The greatest decline was recorded in number games – by 9 percentage
points, casinos - by 1.6 percentage points, cash lotteries - by 0.2 percentage points, audiotele
lotteries - by 0.1 percentage point.
4.2. Tax arrears
As at 31 December 2017, tax offices recorded tax arrears amounting to PLN 101,579 thousand,
which means that their increase by PLN 15,681 thousand, i.e. by 18 % compared to the status
as at 31 December 2016.
Gambling tax arrears
(in PLN ‘000)
Specification As at 31.12.2016 As at 31.12.2017
Amount of arrears 85,898 101,579*
* the increase of the balance of gambling tax arears was affected by the arrears of one entity (in the amount of PLN 19,976
thousand) who, as at the date of preparing this report, had already settled the liabilities.
Pursuant to Article 63 of the Gambling Law, an entity arranging games was obliged to provide
financial security in the following amounts in order to secure tax liabilities on account
of gambling tax:
1. PLN 1,200,000 – in the case of casino operation;
2. PLN 600,000 - in the case of cash bingo hall operation;
3. PLN 40,000 - in the case of bet making points;
4. PLN 480,000 - in the case of arranging betting via the Internet.
In the case of failure to pay the assessed or declared amount of gambling tax on time, the
liability was satisfied out of the security provided. In 2017, the number of pending instruments
permitting enforcement on account of gambling tax amounted to 351, 264 were settled .
The amount covered by instruments permitting enforcement reached PLN 2,532 thousand,
including PLN 355 thousand of enforced tax arrears.
4.3. Receipts from fees in 2017
In accordance with the Gambling Law effective in 2017, entities arranging gambling games
paid the fee:
to the bank account of the Ministry of Finance:
1) fee for the granting licences and permits, change of licences or permits – pursuant to
Article 68(1)(1) and (4) of the Gambling Law. The amount of PLN 19,224.9 thousand was
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transferred to the MF account;
2) examination fee – Article 68(1) (2) of the Gambling Law repealed by the Act of 15
December 2016 amending the Gambling Law and certain other Acts which entered into force
as of 1 April 2017. In 2017, seven exams were held; accordingly, the MF account was credited
with the amount of PLN 249.2 thousand;
3) fee for issuing a professional certificate – Article 68(1) (3) of the Gambling Law repealed
by the Act of 15 December 2016 amending the Gambling Law and certain other Acts which
entered into force as of 1 April 2017. In 2017, 136 professional certificates were issued,
accordingly, the MF account was credited with the amount of PLN 76.2 thousand.
4) fee for examining the request for resolving the nature of games referred to in Article 2(6)
– accordingly, the MF account was credited with the amount of PLN 68.2 thousand;
to the bank account of the Nowy Targ Tax Office:
1) for issuing permits for promotion lotteries, raffle lotteries, audiotele lotteries, bingo
games– PLN 32,119.4 thousand;
2) for registration of a gaming machine – PLN 761.8 thousand;
3) for a lottery drawing machine – PLN 46.7 thousand;
4) for registration of a gaming device – PLN 44.6 thousand.
In total, in 2017, on account of the aforementioned fees the bank accounts of the Ministry of
Finance were credited with the amount of PLN 19,618.5 thousand whereas the bank account of
the Nowy Targ Tax Office was credited with the amount of PLN 32,972.5 thousand. The total
receipts on account of the aforementioned fees determined under the Gambling Law
amounted to PLN 52,591 thousand.
4.4. Surcharges
Pursuant to Article 80(1) of the Gambling Law, the following surcharges were established for
games subject to the state monopoly:
1) 25% of the stake, price of the coupon or another game ticket – in number games;
2) 10% of the stake, price of the coupon or another game ticket – in cash lotteries and
telebingo.
In accordance with the Gambling Law, the surcharges are transferred in the following way:
1) 75% - to the Physical Culture Development Fund operated by the minister competent
for physical culture;
2) 20% to the Fund for the Promotion of Culture operated by the minister competent for
19
culture and national heritage;
3) 1% to the Fund for Resolving Gambling Problems operated by the minister competent
for health matters;
4) 4 % to the Fund for the Support of Civil Society Development, operated by the
Chairman of the Committee for Public Benefit Affairs.
Surcharge amounts transferred to individual funds in 2017
Specification
Amount (in PLN thousand)
2016 2017 Difference
2017 – 2016
Physical Culture Development Fund 759,696 723,938 -35,758
Fund for the Promotion of Culture 197,324 191,694 -5,630
Fund for Resolving Gambling Problems 29,030 15,239 -13,791
Fund for the Support of Civil Society Development - 28,168 +28,168
TOTAL 986,050 959,039 -27,011
Source: budgetary data
In 2017, the amount of surcharges decreased by PLN 27,011 thousand, i.e. by 2.7 % compared
to 2016.
20
5. SUPERVISION AND CONTROL OF ACTIVITY DETERMINED UNDER THE
GAMBLING LAW
5.1 Bodies authorised to exercise control and forms of control
The Act of 16 November 2016 on the National Revenue Administration (Journal of Laws
of 2018 item 508, as amended)2 provided basis for the control of the gambling market in 2017.
The tasks of the National Revenue Administration included: performing customs and tax
inspections in the area of gambling games in the scope of compliance of entities pursuing such
activity with to the provisions of the Gambling Law, compatibility of this activity with
the notification, granted licence or permit and with the approved game regulations, control
of compliance with the obligations in the scope of gambling tax and surcharges, control
of gaming machine holding as well as the production and trade in gaming machines. Moreover,
the tasks of the National Revenue Administration included the identification, detection,
counteracting and combating tax crime and tax offence against the organisation of gambling
games and the prosecution of perpetrators.
The bodies authorised to perform the aforementioned tasks in 2017 were the heads of customs
and tax control offices3. Control powers with regard to the accuracy of declared taxable amount
and the correctness of gambling tax assessment and payment were also exercised by revenue
control authorities4.
Inspections in the area of gambling games comprise:
1) compliance with the provisions regulating the arrangement and conducting of gambling
games referred to in the Gambling Law and compatibility of such activity with the notification,
granted licence or permit and the approved regulations;
2) accuracy and timeliness of gambling tax payments; these inspections were performed
under the rules defined in Chapter 3 of the Act of 27 August 2009 on the Customs Service
(Journal of Laws of 2016, item 1799, as amended), by heads of customs offices5;
3) fulfilment of the entities’ obligations in the scope of gambling tax and surcharges.
Furthermore, in connection with the entry into force on 1 April 2017 of the Act of 15 December
2016 amending the Gambling Law and certain other Acts which introduced changes
in the scope of the currently effective model of the gambling market, the following areas are
2 In the period from 1 January to 28 February 2017 the tasks were performed by Customs Service bodies pursuant to
the Act of 27 August 2009 on Customs Service . 3 In the period from 1 January to 28 February 2017 - heads of customs offices and directors of customs chambers 4 Refers to the period from 1 January to 28 February 2017 5 Since 1 March 2017, the inspections have been carried out pursuant to the Act of 16 November 2016 on the
National Revenue Administration by heads of customs and tax control offices
21
also subject to customs and tax control:
1) compliance with the provisions in the scope of holding gaming machines;
2) production and trade in gaming machines.
5.2. Conducted inspections in the area of the legal gambling market and their outcome
5.2.1. Inspections of arrangement of gambling games in 2017
In 2017, the National Revenue Administration conducted the total of 552 inspections of
arrangement of gambling games, i.e. 245 more inspections than in 2016. As a result
of 69 inspections of arrangement of gambling games performed by bodies of the National
Revenue Administration various types of irregularities were disclosed, which consequently
indicates that the effectiveness of these inspections reached 12.5%. The increased number
of inspections was associated with the emerging signals of occurring irregularities, among
others, in bet making points, including the intensification of control measures in sectors
of potential non-compliance risk.
5.2.2. Number of performed inspections of arranging games and irregularities found in
entities holding a license/ permit for arranging gambling games and in entities notifying
such games
The table below presents the number of inspections of arranging individual types of games
in areas of the legal gambling market carried out by bodies of the National Revenue
Administration.
Game type Number of inspections performed
Number of inspections
during which
irregularities were
found
2016 2017 2017
Games on gaming machines in games
arcades
3 0* 0
Games in casinos 76 119 6
Betting 74 297 30
Number games (lottery offices) 18 26 5
Lotteries (raffle, promotion, audiotele) 118 97 27
Cash lotteries 18 13 1
Total 307 552 69
* In 2017, no games arcades operated
22
Casinos
In 2017, 119 inspections were performed in casinos.
During 6 inspections of arranging gambling games irregularities were disclosed which
consisted, among others, in:
- failure to record a visitor’s entry in the casino in the register;
- incorrect assessment of the taxable amount and tax calculation on a game of poker
played in the form of a tournament;
- lack of validation of the records of certificates by the head of the customs and tax control
office.
Betting – bet making points
In 2017, 2,510 bet making points operated. During 297 inspections performed by the National
Revenue Administration bodies, irregularities were disclosed in 30 cases. The irregularities
were, among others related to:
- failure to publish the rates and the results of betting at a bet making point;
- lack of validated records of prizes paid out (issued) with a value of at least PLN 2,280;
- failure to display a warning on the ban on participation of minors in the game;
- lack of consent of the national organiser of sports competitions to use the results of
events;
- untimely issue of certificates of prize;
- violating the conditions of the permit by arranging betting in the manner incompatible
with the regulations;
- arranging betting at a point located in a venue which does not fulfil the requirements
of the Gambling Law;
- prohibited advertising of betting.
Promotion and audiotele lotteries
In 2017, 27 inspections of arranging promotion lotteries and audiotele lotteries were conducted.
In 14 cases, various types of irregularities were found, related in particular to:
- arranging a lottery without a permit;
- failure to send a notification of the commencement of the lottery;
- failure to properly secure the lottery drawing machine against tampering (incorrect seal
placement).
23
Number games
In 2017,26 inspections of arranging number games were conducted. During 5 inspections
an irregularity was found consisting in the lack of warning concerning the ban on minors’
participation in the game.
Raffle lotteries
In 2017, 70 inspections of raffle lotteries were performed. Results of 13 inspections indicated
various types of irregularities. The irregularities were, among others related to:
- lack of validated records of prize certificates;
- arranging a raffle lottery without a permit;
- failure to notify the destruction of coupons;
- failure to settle the lottery within the determined time limit;
- the value of prize in gambling games (the value of the prize was lower than the price
of the coupon, the total value of the prizes won was lower than 30% of the total price
of the coupons for sale);
- notifying a lottery with the infringement of the statutory deadline.
Cash lotteries
In 2017, 13 inspections of lottery offices offering cash lotteries were performed. During one
inspection, an irregularity consisting in the lack of access to the lottery regulations was found.
5.2.3. Tax inspections performed by the National Revenue Administration in the area of
gambling games
Tax inspections
In 2017, heads of customs and tax control offices conducted 8 inspections in the scope
of gambling tax. As a result of all tax inspections, reduction of receipts for the state budget
on account of gambling tax by PLN 774,224 was disclosed. The irregularities included
incorrect assessment of the taxable amount and calculation of the tax due on a poker game
in the form of a poker tournament and (in the case of 2 inspections), the failure of an entity
arranging a poker tournament to file gambling tax returns.
Inspections of the accuracy and timeliness of gambling tax payments
In 2017, heads of customs and tax control offices conducted 14 inspections of the accuracy and
timeliness of gambling tax payments referred to in Article 30(3)(1) of the Act of 27 August
2009 on the Customs Service6. One inspection revealed the irregularity related to
6 Since 1 March 2017, inspections have been performed pursuant to the Act of 16 November 2016 on the National
Revenue Administration by heads of customs and tax control offices
24
underestimation of the gambling tax taxable amount. This irregularity did not affect
the reduction in the amount of gambling tax due to the loss incurred by the casino in the period
when the irregularity occurred.
5.3. Inspections in the area of the illegal gambling market, i.e. in relation to entities
arranging and conducting gambling games without a licence, a permit or a notification
In 2017, the National Revenue Administration (KAS) continued its activities aimed at
combating tax offence consisting in the illegal arrangement of games.
As a result of performed control measures, the KAS bodies detected the following
irregularities:
- arranging 10 promotion lotteries without a permit;
- arranging 2 audiotele lotteries without a permit;
- arranging 2 raffle lotteries without a permit.
In 2017, the National Revenue Administration carried out intensive control of the market with
regard to arranging games on gaming machines without a required permit, holding of gaming
machines as well as production and trade in gaming machines.
In 2017, 27,635 gaming machines were seized. This number results from maintaining the level
of control effectiveness based on risk analysis and counteracting illegal activity undertaken in
locations where gaming machines registered as low-value-prize machines formerly operated .
In the scope of illegal operations, intensified measures were continued in the area of illegal
arranging of games on gaming machines, i.e. arranging illegal games using electronic media,
skill with prizes (SWP) and arranging games without a permit on traditional (classic) gaming
machines. Additionally, in 2017, activities were also carried out in the scope of unlawful
possession of gaming machines. These actions, conducted also in collaboration with the Police,
were targeted at disclosing the arrangement of illegal games on gaming machines or illegal
holding of gaming machines.
Irrespective of the foregoing, as a result of the activities performed in 2017, over 45,000
interventions were undertaken in order to verify the locations identified as having arranged
illegal games on gaming machines in the past, or where a likelihood of such activities existed.
The number of devices seized by the National Revenue Administration was slightly higher than
in 2016. This is associated with additional seizure of gaming machines on account of their
unauthorised holding in 2017. In 2017, bodies of the National Revenue Administration seized
14,738 gaming machines which were used to arrange games and 12,897 gaming machines
25
on account of their unauthorised holding (including 11,721 gaming machines stored
in warehouses). In connection with the intensified activities of the National Revenue
Administration bodies, the number of gaming machines used for illegal games on gaming
machines seized in 2017 was lower by 43.8 % compared to 2016.
The table below presents the number of devices seized for the purpose of proceedings in tax
penal cases :.
Device type 2010 2011 2012 2013 2014 2015 2016 2017
Low-value--prize machines
operated without a permit
1,030
70
60
169
13,864
29,855
x
x
Traditional gaming
machines
1,074 631 459 2,554
24,699
24,503
SWP machines 87 1,856 2,474 1,574
Internet terminals 102 672 288 1,649 393 393 1,532 3,132
TOTAL 2,293 3,229 3,281 5,946 14,257 30,248 26,231 27,635
Internet terminals
The first area of illegal arranging of games on gaming machines was the arrangement of illegal
games using electronic media. In 2017, during inspections of locations where the
aforementioned games were illegally arranged, bodies of the National Revenue Administration
seized 3,132 of such machines.
Such devices, via the Internet, enabled their users to play gambling games analogically
to the traditional gaming machines within the meaning of the Gambling Law. In the course
of conducting illegal games using Internet terminals, the fee for the game was paid at the venue
where the Internet terminal was located, through a banknote or coin reader installed
in the machine itself or with the help of staff who, using another computer connected to
the Internet, would pay the fee for the game, corresponding to the amount received from the
player in cash. The operators also paid out prizes for points won on the machine. Such machines
were usually deployed in premises to be treated as Internet cafes as well as in places where
liquidated game points operated in the past.
In 2017, the phenomenon of introducing “Knowledge quiz” and “CSANI” devices to operation
was still popular.
In this respect, on 29 November 2016, the Minister of Development and Finance issued the first
decision concerning the nature of games arranged on such machines, recognising that they
should be treated as games on gaming machines. Additionally, on 14 September 2016,
26
the Ministry of Finance published a notice on its website concerning the appearance of CSANI
terminals (internet kiosks) and so-called “Quiz machines” on the market, whereas on 26 May
2017, the Ministry published a notice reminding the public of the definition of games
on gaming machines within the meaning of the Gambling Law and the meaning of an ‘element
of chance’ with regard to gambling games.
On 28 October 2014, the Minister of Finance issued a decision, in which it ruled that games
organised on CSANI Money Transfer Kiosk devices were regarded as games on gaming
machines within the meaning of the Gambling Law.
This position was shared by the Supreme Administrative Court in its judgment of 8 February
2017, case ref. II GSK 5293/16, which ruled that the players using the CSANI platform
on Money Transfer Kiosk devices did not enter into a purchase/ sale transactions of financial
instruments, currency options, but they were playing gambling games offered by the device.
Additionally, on 12 February 2018, the Internet domains csani.com and www.csani.com using
Internet addresses http://www.csani.com and http://csani.com to arrange games via the Internet
were entered in the Register of domains used to offer gambling games incompatible with
the Gambling Law, referred to in Article 15f (1) of the Gambling Law..
Skill with Prize Machines (SWP)
Another area of the illegal arrangement of games on gaming machines was the arranging of
illegal games using skill with prize machines. They are gaming machines where prizes are paid
outside the machine, e.g. by the staff of the premises or a bartender. The operators arranging
and conducting gambling games on skill with prize machines for the purpose of fraudulent
disguise of their illegal operation, displayed notices on the device informing that the machine
was a play device only and did not pay out prizes. Moreover, there were other elements
installed in the devices to fake their legality, such a time limiters and skill elements.
Traditional (classic) gaming machines
The third and most common area of illegal arranging of games on gaming machines was
the arranging such games using traditional (classic) gaming machines, where cash or in-kind
prizes were possible (the prize is paid out by the machine). In 2017, during inspections
of the locations where games on SWPs and traditional gaming machines were illegally
arranged, the National Revenue Administration seized 24,503 gaming machines. In most cases
they were machines previously used as low-value-prize gaming machines which, after small
alterations, returned to the market as gaming machines used for games arranged illegally.
27
5.3.1. Activities of the National Revenue Administration in the scope of combating
arranging games on gaming machines without a permit
The greatest risk of irregularities was identified in the following areas:
- arranging games on gaming machines without using any electronic media (traditional
gaming machines);
- arranging gambling games using electronic media.
Due to the fact that the market of games on gaming machines was remodelled to permit
arranging of games on gaming machines in casinos and games arcades operated by an entity
exercising the state monopoly in this scope only, a substantial number of gaming machines
which used to arrange games on low-value-prize gaming machines are being re-introduced into
the market as gaming machines used for illegally arranged games after minor alterations.
The National Revenue Administration authorities will continue to eliminate that hazard,
including by further exercising of their intensified control measures, especially by inspecting
the locations where illegal arrangement of gambling games had been already disclosed
in the past. The National Revenue Administration, within its activities, obtained information
on location of illegal points of games on gaming machines, in particular from the Municipal
Guards, the Police, local authorities, schools, from the Customs Service hotline7,
the powiadom.clo e-mail box (currently at: [email protected]), and the National
Hotline of the National Revenue Administration 800 060 000 – line open 24h a day, the same
number for the entire territory of Poland). It also continued the collaboration with the Chief
Commander of the Police in the scope of cooperation with regional / capital city, district,
municipal and local police departments in the identification of locations where illegal gambling
operations were taking place with the violation of the provisions of the Gambling Law,
including by conducting joint inspections.
Additionally, in 2017, combating the arrangement of games on gaming machines without
a permit/ licence was implemented through:
- focusing the inspections on locations which are socially vulnerable and exposed,
especially in city centres, bazaars, passages and commercial centres, surroundings
of trunk roads, in the vicinity of schools, medical facilities, places of worship;
- criminal analysis aimed at linking facts in order to detect the perpetrators or identify new
directions which have to be explored in order to disclose irregularities;
7 From 1 March 2017, the National Revenue Administration
28
- cooperating with local authorities; if illegal games on gaming machines are found to be
arranged in locations offering alcohol, the licensing authority will receive information on
organising gambling games on the premises without a permit required by law;
- conclusion of an agreement between the Head of the National Revenue Administration
and the Chief Building Supervision Inspector on cooperation in identifying locations
where operations were carried out with violation of the provisions of the Building Law
and the Gambling Law;
- elaboration and submission of information on new legal regulations in the area
of gambling games in connection with the entry into force of the Act amending
the Gambling Law and certain other acts:
a) to the Minister of the Interior and Administration, with a request to disseminate
it in subordinated local administration units, including paying special attention
to issues connected with letting premises to operators under agreements
concluded by those units;
b) to the Presidents of the Polish Chamber of Liquid Fuels and the President of the
Polish Industry Organisation, with a request to disseminate it among their
members operating in the fuel sector present mainly in the Polish retail market
of liquid fuels and distributing liquid fuels or lubricating oils, including
indicating that the dissemination of the information might contribute to avoid
potential criminal or administrative liability.
5.4. Activities of bodies of the National Revenue Administration in the scope of violation
of the provisions of the Gambling Law on the Internet
The technological development enabling comprehensive use of the Internet, available to
anyone and practically at any location, also triggers changes in the structure of gambling
games. These changes consist in relocating and undertaking activities in the scope of arranging
gambling games to the Internet. The Internet as well as new communication methods are
frequently used as a tool to conduct illegal activities through the range of options they offer,
i.e. arrangement of gambling games via the Internet, their advertising and promotion and
information on sponsoring contrary to the provisions of the Gambling Law as well as
participation in illegal games.
5.4.1. Arranging illegal gambling games on the Internet
Due to the entry into force, on 1 April 2017, of the Act of 15 December 2016 amending
the Gambling Law and certain other acts which introduced changes in the scope of the current
29
model of the gambling market intended to achieve the objective of highest level of player
protection and limiting the phenomenon of the “shadow economy”, the activities of the
National Revenue Administration bodies focused on illegal gambling games arranged via the
Internet.
The main area of activity was the monitoring of the Internet and identification of websites
in terms of infringement of the provisions of the Gambling Law, including for the purpose
of entering their names in the Register of domains used to arrange gambling games against the
Gambling Law.
The premises for entering a domain name in the Register have been listed in Article 15f (4)
of the Gambling Law. A domain name is entered in the Register if the domain is used for
arranging gambling games without a license, a permit or without a notification required under
the Law, especially if the websites which used the names of such domains are:
- available in Polish,
- advertised on the territory of the Republic of Poland.
Entry in the Register, amendment to the entry or its striking-off is performed on an ex officio
basis following the approval by the minister competent for public finance or an authorised
secretary of state or undersecretary of state, in the office of the minister competent for public
finance.
In 2017, as a result of undertaken measures 1,277 domains were entered in the Register.
5.4.2 Advertising and promoting gambling games on the Internet
The National Revenue Administration implemented measures in the scope of counteracting
prohibited advertising and promotion of games and informing of sponsoring on the Internet
taking into account the provisions of Directive 2000/31/EC of the European Parliament and
of the Council of 8 June 2000 on certain legal aspects of information society services,
in particular electronic commerce, in the Internal Market (OJ L 178 from 17.07.2000, p. 1)
and Directive 2006/123/EC of the European Parliament and of the Council of 12 December
2006 on services in the internal market (OJ L 376 from 27.12.2006, p. 36). Within the legal
framework effective in 2017, the measures concerning the area under discussion were
implemented pursuant to the Act of 18 July 2002 on the Provision of Electronic Services
(Journal of Laws of 2017, item 1219, as amended), which implemented (in principle)
the provisions of the Directive on electronic commerce, and pursuant to the Act of
10 September 1999– Fiscal Penal Code (Journal of Laws of 2017, item 2226, as amended).
30
In 2017, as a result of a systematic review of the Internet by the National Revenue
Administration bodies in the scope of posting illegal advertising and promotion of gambling
games, among others on servers managed by domestic providers of hosting services (entities
offering space on their servers to consumers for the purpose of saving their data), 66 domains
were identified, where hosting services of the particular website were provided by Polish
entities. 68 URLs were identified in 66 domains, with content which violated Article 29(1)
and (2) of the Gambling Law. Providers of hosting services removed/ blocked access
to forbidden content located in 64 domains.
In the current practice, which is evident from the above data on the proceedings conducted and
the number of blocked Internet domains, results can be noted indicating the effectiveness
of the National Revenue Administration in this respect.
5.4.3. Activities in the scope of cooperation of the National Revenue Administration bodies
with the aim of counteracting violation of provisions in the area gambling games on the
Internet
The following measures were undertaken in order to counteract crime in the area of gambling
games arranged via the Internet:
- cooperation was started with several dozens of hosting service providers which improved
the communication and the effectiveness of implemented tasks;
- drafting and providing the Chairman of the Polish Financial Supervision Authority with
information in the scope of new legal regulations in the area of gambling games
in connection with the entry into force of the Act amending the Gambling Law
and certain other acts, especially concerning the blocking of illegal operators’ websites
and blocking payments to entities arranging illegal gambling games via the Internet, with
a request to disseminate this information among providers of payment services in the face
of administrative sanctions against the entities failing to observe the prohibition
on the provision of payment services;
- working out a method for cooperation between the Polish Financial Supervision
Authority and the National Revenue Administration in the scope of enforcement
of the prohibition to act as an intermediary in payments for participation in gambling
games arranged via the Internet on the territory of Poland to entities illegally arranging
gambling games via the Internet;
- establishing collaboration with the Ministry of Health with regard to launching
an information and education campaign in the area of arranging illegal gambling games
31
via the Internet under the programme of Counteracting Behavioural Addiction,
operational objective no. 2: Prophylaxis and resolving problems related to using
psychoactive substances, behavioural addictions and other risky behaviour of the
National Health Programme for the years 2016 – 2020, and launching measures aimed
at conducting scientific research on the participation of the society in gambling games
via the Internet, the results of which would make it possible to define a profile of a typical
on-line gambler in order to define effective methods for resolving gambling addiction
problems and develop adequate preventive measures appropriate for that group
of persons.
Measures undertaken against players participating in illegal gambling games via the
Internet
In 2017, 13 proceedings were initiated against persons who participated in illegal gambling
games on the Internet, in 12 cases charges were presented to suspects. The courts issued
criminal conviction in 7 cases, sentencing the defendants to fines in the total amount of
PLN 9,280,00. Moreover, in 4 cases the courts issued judgments as a result of voluntary
subjection to penalty, with total fines amounting to PLN 2,440.00.
5.5. Tax crime and tax offence against the organisation of gambling games
Tax crime and tax offence against the organisation of gambling games is described in Title 1
Section 2 Chapter 9 (detailed part) of the Act of 10 September 1999– Fiscal Penal Code. As of
1 March 2017, bodies authorised to conduct proceedings concerning these issues are the heads
of customs and tax control offices which form a part of the National Revenue Administration.
In the period from 1 January to 28 February 2017, the Customs Service was competent for
conducting proceedings in the aforementioned scope.
32
The table below presents the number of proceedings concerning tax crime and tax offence
against the organisation of gambling games, conducted by the Customs Service in 2016
and by Customs and Tax Control offices in 2017
Tax crime and tax offence in the scope
of:
Preparatory
proceedings
Fine ticket
proceedings
2016 2017 2016 2017
Games on gaming machines and betting 8,747 9,709 11 8
Raffle lotteries, raffle bingo, promotion
lotteries and audiotele lotteries 85 45 0 2
Advertising and promoting gambling games
and information on sponsoring 95 159 9 3
Other violations of provisions regulating
the organisation of gambling games 62 52 6 2
Total 8,989 9,763 26 15
The total amount of fines imposed in closed
cases (in PLN) 1,667,089 24,641,423 22,500 11,552
In 2017, the courts imposed a fine in 2331 fiscal penal cases against perpetrators of tax crime
and tax offence for the total amount of PLN 24,641,423, which constitutes a rise in the total
amount of fines by 1,378 % compared to 2016. In cases concluded in ticket proceedings, a fine
was imposed in 15 fiscal penal cases for a total amount of PLN 11,552. In aggregate, the fines
were imposed on perpetrators in 2,346 fiscal penal cases for non-compliances in the area
of gambling games for the total amount of PLN 24,652,975, which constitutes an increase in
the amount of fines by 1,359 % compared to 2016.
In 2016, customs offices, as fiscal authorities competent to conduct preparatory proceedings,
undertook investigations not only against persons who arranged and conducted illegal
gambling activities and participated in illegal gambling games, but also against persons who
contributed and enabled the illegal procedure, e.g. by letting premises and rooms, providing
services, etc. Starting from 1 March 2017, the tasks in this area were taken over by heads
of Customs and Tax Control offices.
The number of fiscal penal proceedings in the area of games on gaming machines and betting
increased by 11 %. On the other hand, in the scope of raffle lotteries, raffle bingo games,
promotion lotteries and audiotele lotteries, the number of cases fell significantly – by 47 %,
which proves that the scale of irregularities in this area is markedly lower. The activities
undertaken by customs and tax control offices also included combating prohibited advertising
33
and promotion of gambling games: the number of such cases increased by 64 in 2017,
i.e. by 67 % compared to 2016. The number of other types of cases involving tax crime and tax
offence conducted in 2017 fell by 10, i.e. by 16 % compared to 2016.
Achievement of these results in combating tax crime and tax offence against the organisation
of gambling games was possible, among others, as a result of the collaboration between
the National Public Prosecutor’s Office and the Ministry of Finance in eliminating so-called
“shadow economy” in the environment of gambling games. The activities of the National
Public Prosecutor’s Office in 2017 significantly affected developments in the practice
of prosecuting economic and financial and tax crime.
5.6. Application of administrative sanctions for the infringement of the provisions of the
Gambling Law
A financial penalty is a financial sanction for the failure to comply with the obligations
stipulated in the Gambling Law imposed pursuant to Article 89 of the Gambling Law.
A financial penalty can be imposed both on an organiser of gambling games without a licence
or a permit or a notification, without the required gaming machine or device registration,
on an organiser of gambling games on gaming machines outside a casino as well as on
a participant in a gambling game which is arranged without a licence or a permit.
As a result of conducted proceedings concerning the infringement of the provisions
of the Gambling Law and imposing fines as a consequence of inspections carried out by
the National Revenue Administration, the total amount of financial penalties imposed under
Article 89(1) of the Gambling Law (in the first instance decisions) amounted to PLN 237,429.9
thousand.